In the mass-merchandising of consumer goods, e.g. groceries in super markets, intense competition between manufacturers necessitates very close collaboration between the manufacturer or wholesaler and retailer since, obviously, the manufacturer who is able to display his goods to maximum advantage is favored in the marketplace. For example, upper shelves more directly in the shopper's normal line of vision are preferred over those which are lower. The retailer carries many well-advertised items of similar nature, e.g. cereals and, being limited in shelf-space, is obliged to allocate limited display space to each different brand. It then becomes a contest between wholesalers and/or manufacturers to utilize the space allocated to him to maximum advantage, having in mind the rank each item will occupy. For example, if Kellogg's Corn Flakes outsells Post's Raisin Bran 10 to 1, then Kellogg's representative will see to it that his display is so arranged as to maintain that advantage, i.e. he will allocate proportionately greater space to his corn flakes and similarly with regard to other cereals in his line. Having decided on an optimum use of the space allocated to him in terms of shelf space, the manufacturer or his wholesaler will then make his plan known to the retailer. Obviously collaboration will be in order. A large supermarket chain can easily number several hundred stores nationwide.
To effectuate a plan conceived as aforesaid, the same is communicated to the retailer as a recommended plan to be followed if maximum profit is to be derived. Obviously, the alternative would be to have the storekeeper make his own arrangement, in which case indiscriminate allocation of items and shelf-arrangement will lead to purchaser confusion, out of stock condition, and lower sales of the items not subjected to a planned display. By concentrating the planning of displays in the hands of experts in selling psychology substantially greater advantages will accrue to the dealer following such expert advice. Once the layout of a particular display has been finalized it may be placed in the hands of the retailer as a model to be followed in the full-sized arrangement in the store or, if desired, photographed and prints distributed. Moreover, the miniaturized display should be sufficiently flexible to enable repeated use when a change in display is to be executed.